Population growth, resource scarcity, environmental degradation, and a myriad of social issues are increasingly motivating investors to examine the social and environmental impact generated by the companies they invest in.
WHEB Asset Management (‘WHEB’), a boutique investment manager based in the UK, have created an investment process with a focus on investing in companies that provide solutions to sustainability challenges. This strategy is available in Australia via the Pengana WHEB Sustainable Impact Fund.
WHEB have developed a bespoke methodology to measure the environmental and social impact of their investments. Access the latest Impact Report and calculator to learn the positive impact that your investment could make.
Access the latest Impact Calculator to learn the positive impact that your investment could make. You can also view a short video on the use and benefits of the Impact Calculator in the Resources section below.
Derived from: WHEB Impact Report 2018 and AUDGBP spot rate on 31 December 2018
The UN Sustainable Development Goals (UN SDGs) were agreed by the world’s governments under the auspices of the United Nations in 2015. The seventeen goals set out aspirational and demanding targets for the world to achieve by 2030. The SDGs send a powerful message to the investment community at to what the world’s governments consider as development priorities through to 2030.
WHEB’s investment strategy supports the achievement of the SDGs. 100% of the strategy is invested in businesses that directly support seven of the SDGs through the products and services that they sell. This includes Goals 3, 4, 6, 7, 9, 11 and 12 (See WHEB’s impact report for more information). However, because the SDGs were primarily written for governments, several of the goals are for wider societal objectives such as peace, justice and reduced inequalities. The companies held in WHEB’s investment strategy indirectly support these ten other goals through their management practices and policies.
Click on each Sustainable Development Goal to see examples of how WHEB’s investment strategy supports that goal.
Understanding the positive impact of each company in the strategy is central to the investment case for that company. Before investing, the overall impact of every company under review is assessed and categorised into one of four bands.
Companies that fall into the negative impact categories of ‘Degenerative’ or ‘Transitioning’ do not fit with WHEB’s investment philosophy and are not considered further. Companies which sell products or services with a positive impact are categorised as either ‘Mitigating’ or ‘Breakthrough’ and are considered as candidates for the investment strategy.
A second step in the investment process assesses the overall quality of the business including how it manages critical environmental, social and governance (ESG) issues. The ‘Impact Map’ below shows the positioning of companies held in WHEB’s investment strategy at the end of 2018.
Hover over the dots on the graph for examples of companies held within the strategy and where they fit in terms of WHEB's quality score and their Product/Service impact.
This report may only be accessed by holders of Australian Financial Services Licences and their authorised representatives. This report is not to be circulated or distributed and is solely for the information of financial services professionals.